Oasis Power Energy (Global) Trading Center

An authoritative and legally binding platform for greenhouse gas emission

registration, emission reduction and resource integration

For more than a century, the climate of the mother earth on which we humans

depend has been continuously warming. Although all countries in the world are

taking various actions to curb climate warming, at the current rate of emission

reduction, the temperature of the earth at the end of this century will still be higher

than that at the beginning of the industrial revolution. Possibly at least 3 degrees

Celsius higher. This change will be catastrophic, and it is also an unprecedented

severe test that we are about to face.

In order to save energy and reduce emissions more effectively, we will

contribute our own strength to save the mother earth, save the whole society and all

mankind. In response to the call of the United Nations, we established the first global

green energy sharing center – Oasis Power Energy (Global) Trading Center (OPETC for

short) in London, England. In order to make it easier for companies and individuals

around the world to interconnect and share green resources.

Since 1972, with the United Nations as the organizer, all countries, institutions,

groups, scientists of cross-regional alliances and people of all nationalities in the

world have begun to take up “scientific weapons” to fight against it.

For half a century, the United Nations has issued a plan to curb global warming

with the “United Nations Framework Convention on Climate Change” as the main

body. During this process, all countries and trans-regional institutions on the planet

have also introduced relevant laws and policies. A variety of scientific methods and

new technologies have been researched to cooperate with the United Nations’

“United Nations Framework Convention on Climate Change”, the “Kyoto Protocol”,

“Paris Agreement”, etc. It is used to achieve energy saving and emission reduction,

and strive to achieve the goal of “carbon peak” and “carbon neutrality” as soon as

possible.

Among them, there is a plan with a high degree of consensus, which is to

establish regional, national, transnational and regional carbon emission rights

resource sharing centers. Establish a carbon emissions trading system and mechanism,

set mandatory total carbon emissions control targets, and allow global sharing and

trading of carbon emissions quotas.

This move. Compared with emission reduction methods such as administrative

orders and economic replenishment, it is a feat across the century. It is low in

environmental protection costs, easy to operate, and is the biggest policy tool for

emission reduction effects. It has far-reaching significance.

Therefore, developed countries in Europe and the United States established a

regional carbon emission rights exchange in 2003. For example, the Chicago Climate

Exchange (CCX) and the European Climate Exchange (ECX). Until 2005, the world’s

first cross-regional exchange was established – the European Energy Exchange (EEX).

The exchanges in these developed countries, including the Korean exchange (KVX) in

Asia and exchanges in China, Singapore and other regions, have been operating for a

period of time, and the overall operation is stable and the development momentum

is good.

In Madrid in 2019, parties to the United Nations Framework Convention on

Climate Change gathered for the 25th annual United Nations Climate Change

Conference. In the meeting, it was pointed out that there is no cross-regional and

cross-country resource integration and trading platform in regions other than theEuropean Union. This has led to the failure of the cross-regional and national

interconnection, interaction and mutual sharing mechanism to start and function well,

thus affecting the global process of energy conservation and emission reduction to a

certain extent. The achievement of the goal of “carbon peak, carbon neutrality” has

been delayed. Negotiate and decide to establish a global carbon emission rights

resource integration and trading center at the meeting. Signed an agreement to name

the institution “Oasis Power Energy (Global) Trading Center”.

5 June 2021, in a joint statement of the United Nations Environment Program

(UNEP) and the World Meteorological Organization (WMO) and the

Intergovernmental Panel on Climate Change (IPCC). Officially authorized the

establishment of Oasis Power Energy (Global) Trading Center, with its headquarters in

London, England. The statement stated that Oasis Power Energy (Global) Trading

Center is a global non-profit public welfare organization. Policy supervision will be

carried out by the Intergovernmental Panel on Climate Change of the United Nations,

and market supervision will be carried out jointly by the US Long-term Service and

Support (LTSS) Trust Committee and the UK Prudential Regulation Authority (PRA).

Oasis Power Energy (Global) Trading Center, referred to as OPETC, is a

non-profit global public welfare organization. This institution not only

provides carbon emission rights integration and sharing services for

companies from various countries, but also has individual user portals.

Individuals can also register in the institution center and handle globalcarbon quota spot transactions, option contracts, institutional custody and

other related businesses.

After the establishment of OPETC, it quickly received strong support from the

World Bank, the European Bank for Reconstruction and Development, the

Inter-American Development Bank, the Asian Development Bank and the African

Development Bank, and combined them into cooperative institutions. Together with

OPETC, it will provide a “package” of comprehensive carbon emission services to

institutions, enterprises and individuals in member states of the United Nations. In

just over a year, the Oasis Power Energy (Global) Trading Center has carried out nearly3 million carbon quota resource integrations and hundreds of public welfare and

environmental protection activities. OPETC currently has more than 18,000

employees from different countries and regions around the world, more than 30

branches and a cross-regional and national resource integration and trading platform.

Covering Europe, America, Africa, Asia and Oceania.

Oasis Power Energy (Global) Trading Center has comprehensive functions such

as online account opening, customer management, transaction management,

pending order declaration, option trading, matching transactions, institutional

custody, global circulation, market release, risk control, and market supervision.

Information release, real-time release of daily carbon market market information and

market historical information; market supervision, responsible for monitoring trading

behavior and issuing early warnings. Comprehensively establish a multi-level

regulatory system, and clarify the division of regulatory responsibilities between

relevant countries and various competent departments and transaction management

agencies. For matters such as the establishment, approval or filing of changes of

transaction management institutions, it is necessary to submit the required materials

and qualifications to the competent department of ecology and environment in the

country where the enterprise or individual is located. This non-profit institution shall

prepare monthly, quarterly and annual reports on transaction status. Including

transaction volume, transaction CO2e, block transaction status and other information

of each transaction type. Submit to the ecological and environmental authorities ofeach country, and be archived by the United Nations Environment Program and the

Intergovernmental Panel on Climate Change (IPCC).

Today, the transition of the global economy to low carbon is the general trend.

Under the strong support and advocacy of the United Nations Panel on Climate

Change and governments around the world, consumers’ demand for environmentally

friendly products and services is increasing day by day, and the continuous

development of low-carbon industries and financial products is promoted. All major

countries in the world regard green development as the core new driving force for

economic growth. The capitalization of carbon emission rights worldwide due to their

scarcity, the unification of the international carbon trading market and the

connection of national markets have become irreversible trends.

In recent years, important progress has been made in climate change

negotiations, laying the foundation for promoting the development of the global

carbon market. The international carbon market is in a period of change and

adjustment. All countries are actively promoting energy conservation and emission

reduction mechanisms and reforming new market mechanisms. Carbon financial

products are favored, and financial innovation is advancing rapidly. At present, retail,

investment, asset and insurance products are the four mainstream carbon financial

products in the world. Large international institutions are actively trying low-carbon

insurance and investment products. Overall, the future will continue to be a trend of

continuously enriching products and gradually expanding transactions. Carbonfinancial derivatives will become one of the important contents of financial

innovation of commercial banks in various countries in the future.

In the early days of the carbon trading market, most carbon trading took place

among developed countries, especially the United States, the United Kingdom, and

Canada. Carbon trading in Asia started relatively late. After the emergence of the

carbon market, corresponding carbon emission quotas and carbon emission

reduction credit transactions also appeared accordingly. The exchange designs

corresponding standardized contract products according to policies and regulations,

and provides a trading platform to provide liquidity for the carbon market and help

carbon market participants to stabilize risks. At present, the typical carbon financial

trading instruments of Oasis Power Energy (Global) Trading Center mainly include

carbon forward trading, carbon options, carbon futures and securitization of carbon

financial products. On the one hand, carrying out carbon trading futures and

derivatives transactions can provide an efficient information exchange platform and

form an open and transparent transaction price. It is not only convenient for buyers

and sellers to find counterparties, but also provides an authoritative and fair pricing

mechanism for the spot trading of emission rights of related companies. On the other

hand, it can provide effective hedging tools for relevant spot companies. Since the

emission right projects need to be operated for a long time after they are completed,

the price of emission reductions generated during this period is also constantly

changing. The price risk can be effectively avoided through carbon emission rightsderivatives trading.

In August 2022, Oasis Power Energy (Global) Trading Center put forward an

operation plan centered on tightening the total quota and changing the cost control

mechanism. This program has been recognized and respected by many carbon rights

exchanges. At the end of 2022, many carbon rights exchanges that have been sluggish

for many years will be revitalized, and market prices will rise steadily.

Oasis Power Energy (Global) Trading Center, the world’s second cross-regional

resource integration trading platform. It is gradually adjusting and unifying the carbon

emission standards of Europe, the United States and Asia, and gradually promoting

the development of the global trading system. Let carbon assets flow and trade

globally, gradually remove various obstacles, and make the global carbon trading

market a reality.

Oasis Power Energy (Global) Trading Center is a rising star, the focus of strategic

deployment is to open individual voluntary carbon trading. Establish a more complete

energy data statistics system and formulate a more rigorous quota plan. In the

collection of energy data, strictly control the authenticity, completeness and accuracy

of energy statistics, monitoring and analysis data. In terms of market quotas, the

allocation method of increasing the auction proportion in real time can be achieved

to the maximum extent. In the future, total emission reduction can be considered.

Improve the scientific, reasonable and effective price formation mechanism, and do a

good job in the three elements of diversified subjects, market-oriented products andtransparent supervision. Form an effective, liquid, stable carbon trading center with

breadth, depth and flexibility. Improve the pricing mechanism of the carbon market

to ensure the fairness and openness of the market. Provide learning programs for

incentive mechanism, guidance function, risk response and stable expectations. Let

more people have a clearer understanding of the carbon market trading system.

In the next 40 years, the international economy will experience a very steep

emission reduction path, and Oasis Power Energy (Global) Trading Center is also

experiencing an unprecedented challenge. We still have a long way to go in the future.

At present, the world is in the transition from industrial revolution to energy

revolution, and all countries are accelerating reform and innovation. This will be a

long journey of new energy reform, and the world will face huge challenges in cost,

market, technology and policy. Try to go beyond the Energy Impossibility Triangle (i.e.:

low-carbon cleanliness, sufficient supply, and low cost cannot be both). Going beyond

the impossible triangle of energy, we must also have a financial market that can

provide large-scale, low-cost long-term financial support. Undoubtedly, banks and

capital markets are still the main battlefield, but this is not enough. A new type of

capital market and financial market is also needed, that is, the carbon market. The

birth of OPETC has reached a scientific, reasonable and effective system and

mechanism in terms of scale, price and liquidity.

There is a famous saying in Silicon Valley, “People always underestimate the

long-term impact of a new technology or new thing, but overestimate its short-termimpact.” Perhaps the carbon trading market is one such novelty. “All the present that

is taken for granted is the future that once seemed impossible. All the future that

seems unimaginable now may be the present that will be taken for granted

tomorrow.” Undoubtedly, Oasis Power Energy (Global) Trading Center shoulders great

responsibilities and glorious missions, and is worth looking forward to.

Special Thanks

Alison Schneider, Alberta Investment Management Corporation

Christina Olivecrona, AP2

Claudia Kruse (Vice Chair) and Marta Jankovic, APG

Steve Waygood and Pauliina Murphy, Aviva

Sonia Favaretto and Catarina Bronstein, Brazilian Stock Exchange (B3)Carly Greenberg, Walden Asset Management

Priya Mathur (Chair) and Anne Simpson, CalPERS, CalPERS

David Atkin and Alexandra West, CBUS

Erin Levey, eRevalue

David Wood, Harvard Kennedy School

Justin Kew, J.P. Morgan

Allan Emkin and Sarah Bernstein, Pension Consulting Alliance

Marcel Jeucken, PGGM

Alex Struc, Pacific Investment Management Company (PIMCO)

Louise Scott, Price Waterhouse Coopers (PwC)

Vivina Berla, Sarona

Catherine Howarth, ShareAction

Vipul Arora, Solaron Sustainability Services

Karin Askelöf, Swedfund International AB

Simon Smiles & James Gifford, Union Bank of Switzerland (UBS)

Gavin Power and Jerome Lavigne-Delville, UN Global Compact

Elodie Feller, United Nations Environment Program Finance Initiative (UNEP FI)

Mike Zelouf, Western Asset

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